The 2011 ERM Symposium will again offer seminars the day before the regular Symposium program to allow for an in-depth and hands-on exploration of relevant topics.
The Seminars will be held on Monday, March 14, 2011 from 8:30 a.m. to 4:30 p.m.
- Seminar I: ERM Implementation
- Seminar II: Designing and Implementing ICAAP and ORSA: Challenges and Practices
- Seminar III: Modern ERM: The New Risk Management Paradigm
Seminar I: ERM Implementation
This seminar is designed for individuals involved with performing ERM functions in their organization – whether for-profit corporations, non-profit organizations, or government entities – or those with oversight over those functions. This includes:
- Chief risk officers or those functioning in that capacity, or their staff
- Those conducting qualitative risk assessments
- Those building models for quantifying key risks
- Heads of Internal Audit
- Chairs of board risk committees or audit committees
- Heads of external relations or those communicating with analysts and rating agencies
This seminar is a practical, hands-on program designed to leave participants with tangible skills that can be applied immediately to help successfully implement ERM at their organization. This program uses a stimulating and dynamic combination of lectures, individual exercises, small group exercises, large group exercises and case studies to provide participants with the skill set to:
- Use a consistent definition of risk and ERM enterprise-wide
- Evaluate the robustness of an ERM program against the ten key ERM criteria
- Understand shortcomings of traditional ERM programs, including three core challenges
- Implement an advanced yet practical ERM framework addressing traditional difficulties
- Employ the five keys to successful risk identification
- Develop a risk categorization and definition (RCD) tool
- Conduct qualitative risk assessment surveys
- Perform baseline company valuation
- Develop individual risk scenarios, using the FMEA technique
- Quantify strategic and operational risks
Note: Attendees are asked to bring their own laptop to this seminar. The registration fee for this seminar is $100 higher than the other two seminars due to the costs of providing materials to the attendees. In addition to a seminar binder, attendees will receive a copy of Corporate Value of Enterprise Risk Management: The Next Step in Business Management, which was authored by the seminar facilitator.
Sim Segal, President, SimErgy Consulting LLC
Seminar II: Designing and Implementing ICAAP and ORSA: Challenges and Practices
This seminar directly addresses challenges faced by banks and insurance companies in building robust Internal Capital Adequacy Assessment Process (ICAAP) and Own Risk and Solvency Assessment (ORSA) respectively. The ICAAP and ORSA are an integral part of the Enterprise Risk Management system of every bank, insurance, and reinsurance undertaking. Industry practitioners and supervisors will provide insightful guidance that can help companies in setting internal capital targets and developing strategies for achieving those internal targets that are consistent with their business plans, risk profile, and operating environment. The interactive sessions will provide a thorough coverage of practical approaches and existing practices of developing and maintaining key components and processes of ICAAP and ORSA, including topics such as:
- ICAAP and ORSA Frameworks
- Supervisory expectations on design and implementation
- Effective governance and senior management oversight
- Sound capital assessment, planning and allocation
- Comprehensive assessment of risks
- Rigorous enterprise wide stress testing
- Effective capital management
- Independent end-to-end validation, and
- Effective internal control and audit reviews.
A panel of experts representing supervisory authorities, insurance and banking industries will wrap up the seminar with their views on the current status and future of ICAAP and ORSA.
Please feel free to join the online professional group ICAAP & ORSA: Challenges & Practices, which was created for participants of the Seminar/Webcast, as well as for practitioners in ICAAP & ORSA areas. The Group's open space will be used for facilitating technical discussions and asking the Faculty questions before, during and after the Seminar/Webcast. Contact Alexander Shipilov at firstname.lastname@example.org with questions about the Group and its discussions.
Alexander Shipilov, TD Bank Group
Stuart Wason, Office of the Superintendent of Financial Institutions Canada
Alan Peng, Office of the Superintendent of Financial Institutions Canada
Bogie Ozdemir, Sun Life Financial
Anand Borawake, TD Bank Group
Dan Rodriguez, Credit Suisse
Julia Ross, Bank of Montreal
Leon Bloom, Deloitte & Touche LLP
Rodanthy Tzani, Federal Reserve Bank of New York
Seminar III: Modern ERM: The New Risk Management Paradigm
The global financial crisis has revealed the need for a paradigm shift in risk management practices. There is now a greater perceived need for a risk management framework that focuses on the risks that matter rather than the minutiae that consume so much time, energy and resources.
A viable ERM framework must be associated with tangible business objectives. However, common practices in ERM currently represent a mix of disparate, silo-based tasks designed primarily to comply with regulatory, rating agency and/or audit requirements. These tasks generally include traditional RCSA, the tracking of open audit issues and key risk indicators, process mapping, collecting loss data and measuring risk capital.
In recent years, a new approach to managing enterprise risk has been introduced. This new approach is called Modern ERM. Modern ERM is a top-down approach, which focuses first on the major risks within a comprehensive and mutually exclusive risk architecture and drills down only in those risk areas where more granularity is required. This holistic and systematic approach allows practitioners to triage the risk management process. Because it is significantly less resource intensive, it avoids focusing management attention and resources on immaterial risks.
A key feature of Modern ERM is that it creates a structured and transparent process for factoring risk into the business decision-making process at both a tactical and strategic level. Specifically, it provides managers, senior managers and C level executives the tools and information they need to optimize risk-reward, risk-control and risk-transfer in the context of cost-benefit analysis. Implementing Modern ERM is fast becoming a strategic imperative for every major corporation and its stakeholders. This seminar will cover the key issues in ERM, the pros and cons of Traditional vs. Modern ERM and how to implement a Modern ERM program.
Ali Samad-Khan, President, Stamford Risk Analytics
Barry Franklin, Director, Towers Watson